Advertising and Consumer Choice of Telecommunication Services in Nigeria

Abstract:
This study examines the critical influence of advertising on consumer choice of telecommunication
services in Nigeria. The advertisement played a key role in providing the consumers with
product information . The study investigates the effect of marketing medium of telecommunication
as a proxy for advertisement on preference of telecommunication services as a proxy for consumer
choice in Nigeria. The Binary Logit Model (BLM) and descriptive analytical frameworks
are used to evaluate the statistical importance of advertisement, quality of services, income of the
consumer, product’s self and related service charges for a consumer choice of telecommunication
services through Wald test. The findings show that product’s self service charge and service
quality are statistically significant for a consumer choice of telecommunication services in Nigeria
at 1 percent significance level. And, related product’s service is statistically significant for a
consumer choice of telecommunication services in Nigeria at 5 percent significance level. While
advertisement and income of the consumer are statistically significant for a consumer choice of
telecommunication services in Nigeria at 10 percent. The study concludes that advertisement is
important for the choice of telecommunication services in Nigeria but having less impact. And,
product’s self service charge and service quality are hugely significant for the choice of telecommunication
services in Nigeria. Therefore, the sector of telecommunications needs more investment
in advertisement so as to have telecommunications’ products information spread in order
to stimulate the increase in demand for telecommunication services in Nigeria.
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